Swedbank reports higher than expected their quarter results

Tuesday, 22 October 2013
Swedish banking group, Swedbank reports an operating profit was
Skr5.191 million in the third quarter compared with expected Skr4.777
million, according to analysts’ consensus survey.

Net interest income came up to Skr5,641 million, against an expected
Skr5.432 million, and commission income was Skr2.52 million. There the
average forecast was of Skr2.481 million.

Swewdbanks core Tier I capital ratio strengthened further during the
quarter and now stands at 18.0 percent, according to the Bank's
interpretation of the Basel 3rdSwedbank / Granscole

CEO Michael Wolf writes in the in the interim report.
"We are waiting for approval from the FSA to use an advanced model for
the calculation of risk weights of Swedish business lending, which will
strengthen our capital ratios further. To put a new internal capital
targets, we need to get clear answers from authorities on future
capital requirements for Swedish banks "he writes.

Swedbank reported net recoveries of Skr 56 million for the third
quarter. They were due primarily to higher net recoveries in Baltic
Banking, Swedbank writes in the report.

Swedish Banking reported higher credit losses than in the second quarter, while credit losses in the Merchant Banking decreased.

During the second quarter of 2013, the bank had lost Skr 88 million.
Details summary here of swedbanks reports is presented below

Swedbank Interim Report January- September

Third quarter 2013 Compared with second quarter 2013

January - September 2013 Compared with January - September 2012

The result for the quarter for continuing operations was SEK 4 187m (3 478)

Earnings per share for continuing operations amounted to SEK 3.82 (3.16) before dilution and SEK 3.79 (3.15) after dilution

The return on equity for continuing operations was 16.2 per cent (14.1)

The
Common Equity Tier 1 ratio was 18.8 per cent according to Basel 2 (16.7
per cent on 31 December 2012). The Common Equity Tier 1 ratio according
to Basel 3 was 18.0*** per cent (15.4 per cent on 31 December 2012).

The result for the period for continuing operations amounted to SEK 11 581m (10 872)

Earnings per share for continuing operations amounted to SEK 10.55* (9.91) before dilution and SEK 10.48* (9.87) after dilution

'The return on equity for continuing operations was 15.2 per cent (15.0)´